Yep!

 

Agreed!


Interesting that you mentioned Range Rover. Back in 2014 I sold an X5 for above sticker and paid $4K ADM on a RRS. Because there was no Land Rover dealership in my county, I was able to purchase out of area (…which ultimately ended up being the dealership in the South Bay). It’s interesting how restrictive they are with regards to sales.

 

My local dealer is 2 years out on the new RR. Other dealers had allocations and were selling them at MSRP but they were not allowed to sell outside of city limits.

That's the story I got from 3 different dealers and there was no implied "pay us and we'll look the other way", but I'm sure there are dealers out there doing that.

 

I am sure Porsche would love to rep the benefit and, frankly, I am surprised that they didn't grab more of the pie by increasing MSRP more. However, NSRP is set for a year - and it is very hard, if not impossible, from a marketing standpoint to reduce MSRP from year 1 to year 2. So the manufactures simply don't have the flexibility to step price the way the dealership can.

And I have zero actual insight to this, but I have to suspect that many if not all the sales programs and incentives manufactures have been offering dealers have dried up in the past two years, effectively allowing the manufactured to keep more profit per car.

 

THIS X 2!^

 

Maybe, but each and every shareholder wants them to go to the person that will result in the most profit and Porsche has a fiduciary obligation to the shareholders to attempt to do just that.

 

I spec'ed and put $5k down for an order for a 911 S Cab in May 2021. Assuming I would get it at MSRP and was told I was in line for allocation.

Then the market went nuts and the dealer told me I could buy an allocation for $25k.

I don't have a philosophical issue with ADM but it certainly felt like a bait and switch.

I walked away and got my deposit back.

Fast forward to May 2022 and I took European Delivery of my GTS Cab that I got from another dealer at MSRP.

 

Dealers get the profit off of ADMs, not Porsche.

 

Certainly true.

But there are dealerships (like AutoNation and Sonic Automotive) that are publicly traded companies.

 

I think prices on most new Porsche cars are back to normal.

Porsche has recently had no chip issues and shipping is back to normal levels. It seems the new recession; and the other important inflations issues are affecting the market.

 

My biggest frustration with ADM is that the number is arbitrary and all over the place. I moved from Florida to California two weeks ago. In Florida the ADM on the Taycan was 10K at two dealerships and no ADM when I showed up in person. In California the ADM from 3 different dealerships within a 30 mile radius was 10K and one dealership offered me 3K when I showed up. I will be waiting for market to cool down. I will never pay ADM out of principle.

 

No ADM here but little availability.

I say wait as the current inflation, the falling stock market, the falling bond market (both never happened at the same time), and the falling growth rate will correct that ADM back to a discount.

It will be the new recession that will get prices in line. It's going to be worse than J. Powell says.

 

You moved from a free state to Commiefornia?!?! We’re all trying to leave here and go to Florida. Welcome though!


ADM isn’t going anywhere any time soon, recession or not.

 

Wait wait wait wait wait. You moved from Florida to California? Did you do that on purpose? Who are you running from? Is the state of Florida after you? Who did you make mad in Florida? Nobody moves to California from Florida. Nobody. That would be like purposely leaving South Korea for North Korea.

Having said that just so you know I called probably 30 dealerships all throughout the entire country from Miami to Seattle and from Falmouth Maine to San Diego. I’m talking everywhere coast to coast and in between and the ADM was all over the place. Sometimes it was all over the place in the same state. Let me give you an example. My local dealership in Tampa only wanted you to buy a watch and all the warranties. The one in Orlando wanted $125,000 over sticker for a turbo S. Those dealerships are approximately 110 miles apart. So there you go.

 

I totally agree with you except product availability i.e. Porsche cars are still incredibly slim. Well below normal and that’s keeping ADM’s in place. I just think they are lower ADMs then they were when the economy was hot on top of not having cars. Time will tell though. I hope these things do go away because I would like to build the perfect spec for me Porsche turbo S.